GameStop related: Any hot takes on this? From a day trader buddy. wsbets.win gives me an ssl error.
(media.patriots.win)
posted ago by me-no-likely2
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all of these measures rely on the SEC allowing blatantly illegal shit to fly
I think a non-trivial amount of people in on this shit are here for the US government to officially take that position. For those people, shit like this would be "fucking do it"
for many other people who know damn well how much wall street money is on the line here, literally anyone within an airplane ride of wallstreet is untrustworthy. They are ALL colluding to decrease the price by whatever means possible.
What does “convertible bond offering” mean and how does that crush the stock? Asking for a 2 share holder
It would make it so that the hedge guys can buy up the bonds (on margin most likely) and then convert it to stock at the current stock price. Because the bond pays interest, they will get into the stock at a cheaper price than the market price depending on the interest on the face of the bond and the life remaining. So if they issue a huge interest bond (which they can now because they are flush with capital) then it would give the hedge guys a slight out.
It would be the ultimate fuck you to the little guy investor. Because it would be gamestop (or its board) colluding to bail out the over leveraged hedge guys. The only silver lining to that is that it won't tank the stock price but it would possibly see the "hold the line" guys be left with much smaller gains than they were thinking.
Where did you get this me-no-like?
A buddy who is a day trader showed me a screenshot from a dude in a day trade chat group, “...a guy in chat...Found out guy has experience in Wall Street so he knows his stuff”
Looks to me like they are desperately trying to get people to sell.
Solution? Keep HODLing.
Does WSB collectively own enough GME to stop it, or are they just doing options over there?